Vitec axes jobs despite profits

Vitec Group has made job cuts in its broadcast systems division despite pocketing a pre-tax profit of£35m last year, an increase of 17% on 2007.

After a fall in sales, some 50 jobs have been cut across the division, which includes such big names as Anton Bauer, Vinten Radamec, Autoscript and Satchler.

“In 2009, orders and revenues have been in line with our expectations,” said interim chief executive Alastair Hewgill. “However, we have seen weakness in some of our broadcast systems businesses and experienced lower sales volumes.

“As a result, we have taken further actions to reduce our cost base, the benefits of which will flow through during the course of the current year. At this stage the board's view of 2009 remains in line with its expectations.”

Despite the reduction in broadcast systems orders, group revenues rose by 23% to £338m for the year to 31 December 2008.

The camera peripherals and systems manufacturing company attributed the rise to organic growth and large events such as the Olympics and US presidential election.

Last year, Vitec Group bought three companies: lighting business Litepanels, kit hire company The Camera Store and software firm Talkdynamics. In January, it closed its Bexel office in Orlando, US, with the loss of 12 jobs.

Based in Kingston-upon-Thames, the company employs more than 2,000 people worldwide. Its other companies include RF Central, Nucomm, Petrol Bags and OConnor Engineering.

The Vitec Group’s digital microwave broadcasting equipment division RF Extreme has opened an office in Suffolk where it is planning to build a dedicated area for local product sales, testing and demos.